Introducing RaSa Credit Talks series

Rasa’s founder Sandeep Sachdeva recently had an engaging conversation with Abhi Pabba , Chief Risk Officer at Majority. The discussion delved into underserved lending – their favorite topic – as well as macro trends impacting the lending landscape. Abhi, a distinguished credit leader with extensive experience across both large and small financial institutions, shared valuable insights and perspectives. Here is Part 1 of their discussion; stay tuned for Part 2 in the coming days. Key takeaways from the discussion: ◾ Diverse Underserved Segments - Underserved segment is not a monolith but includes various sub-groups such as credit rebuilders, immigrants, young adults and those have been left out or opted out of credit ecosystem. ◾ Tailored Underwriting Solutions - Each sub-group has distinct traits, so effective underwriting demands tailored approaches for each one. For instance, utilizing bureau data from immigrants' home countries can enhance underwriting accuracy. ◾ Alternate and Bureau data - Use of alternative data such as cash flow is fueling new lending opportunities though bureau data should not be ignored. A combination of two data sources will enable more effective underwriting. ◾ Cash flow underwriting – It shows promise, but as it is still new, prudence is required. Several aspects including data gathering and reporting, risk modeling, customer consent and regulatory guidance are still evolving. Fintechs, in particular, have a unique chance to shape this emerging ecosystem. #creditcards #riskmanagementconsulting #underservedlending #securedcredit

On 18 September, we gathered with industry leaders and subject-matter experts to dive deep into the evolving microfinance loan management landscape. At Experian, we believe that combining data, predictive analytics, and technology is key to navigating challenges in today’s economic climate. Having access to secure, complaint and efficient loan management solutions, businesses can manage their risk while growing their business.   Key takeaways: When businesses use real-time insights from integrated bureau services and a robust loan management system, they can: - Simplify the loan management process from start to finish - Stay compliant with regulators - Boost operational efficiency - Make quicker decisions - Provide a higher quality service that encourages customer loyalty.   A big thank you to everyone who joined the forum. Let’s continue to make smart decisions faster and stay competitive in this ever-changing world. 🌍#ExperianForum #LoanManagement #Throwback #DataDrivenDecisions #CompuloanCloud

What do present loan delinquency rates tell us? Recent data sourced from TransUnion CIBIL Limited and Boston Consulting Group (BCG) shows a rise in delinquency rates in the current landscape as compared to the data of the past 5 years. Economic shifts over the past few years may have contributed to this increase. Notably, younger borrowers (18-35) are facing higher delinquency rates compared to older age groups (50+). Understanding these patterns can help in planning and managing financial health more effectively. Gaurav Kumar Bhavin Parekh Devarsh M. Vivek Srikantan Karanpreet Bindra Rubin Mathew Alex Rahul Kanojia Kapil Rohilla Deep Kakkad Pritesh Mistry Amit S. Rajendra Saroj Salomi D’souza #DebtRecovery #Compliance #Collections #FinancialServices #EmpathyInCollections #CollectCoLabs #spocto #Fintech

🚀 Elevating Credit Decisioning at Boodle with the Latest Version of GDS Link's Decisioning Platform! 🚀   We're thrilled to share how Boodle's credit decisioning has reached new heights with their recent update to the latest version of GDS Link's decisioning platform. Having used GDS Link for several years, this new version brings a wealth of enhancements driving substantial impact for Boodle! 📈   ✨ Increased Lending Volumes: Since updating to the latest version, Boodle has seen a notable increase in lending volumes, enabling them to support more South Africans with accessible financial solutions.   ⏱️ Faster Decision Turnaround: With the latest tools that this new version brings, Boodle's decision-making process has sped up by 67%, allowing customers to receive loan decisions in minutes—a game-changer for customer experience!   📊 Enhanced Credit Quality: The updated analytics and predictive capabilities mean Boodle makes even more precise, data-driven decisions, allowing them to grow responsibly.   🔍 Improved Risk Management: The latest version offers more sophisticated risk assessment, helping them manage risk while proactively enhancing customer trust and security. Here's what Boodle CEO, Yaron Bernstein has to say... "We're delighted with the continued success and impact we are seeing at Boodle across our risk management processes, driven by the latest version of the GDS Link platform. We pride ourselves on offering fuss-free and fast personal loans to a growing number of customers in South Africa - GDS Link's latest enhancements and credit decisioning capabilities are powering just that!"   Kudos to all involved to help Boodle stay at the forefront of innovation in lending! #Fintech #CreditDecisioning #DataAnalytics #Lending #FinancialInclusion

Sharing Part 2 of the Credit Talk between Sandeep Sachdeva, RaSa’s founder and Abhi Pabba, Chief Risk Officer at Majority. A big thank you to Abhi for sharing his insights and perspectives on underserved lending and macro economy. Key takeaways from the discussion - ◾ Job market slow down could be widespread: While subprime borrowers are particularly vulnerable, it's important not to assume that Prime+ FICO segments will remain unaffected in a significant job market downturn, given the substantial lending that had happened in the segment since 2021. ◾ Impact of Inflation: Even as inflation cools, the price hikes of recent years are likely here to stay. More than anyone else, underserved customers will continue to face the burden of these changes. ◾ Fintech is Both 'Fin' and 'Tech’ - There have been cases where fintech lenders focused heavily on 'Tech', while neglecting 'Fin' part of the equation – and that is not sustainable. A robust risk management structure and culture along with a deep comprehension of unit economics, payback period, both vertical and horizontal free cash flows are critical. By investing in these areas from the get-go, fintechs will not only be able to survive but also achieve top-tier profitability and sustainable margins over the long term. Stay tuned for the next installment in our Talk Series with another industry leader! #creditconsulting #creditcards #underservedlending #creditriskmanagement

Are Credit Unions Missing Out on Their Biggest Opportunity? Credit unions are sitting on a wealth of member data, but is it being put to work? In a world where personalized, seamless experiences are the norm, data analytics isn’t a “nice-to-have”—it’s the difference between thriving and falling behind. With rising interest rates, growing fintech competition, and the shift to digital banking, traditional growth strategies aren’t enough anymore. Credit unions that invest in analytics are already seeing results: ✔ Millions in new loans through smarter member targeting ✔ Over 40% deposit growth by identifying high-potential depositors ✔ Higher profits with data-driven decision-making The future belongs to credit unions that smartly utilize their data to deliver meaningful member experiences and outpace the competition. Read more: https://lnkd.in/gfssAYM8 #CreditUnions #DataAnalytics #Fintech #DigitalBanking #MemberExperience #CreditUnionGrowth #DataDriven #PersonalizedBanking #BankingInnovation #SmarterBanking #CreditUnionSuccess #Analytics #BankingTransformation #DigitalTransformation #BusinessGrowth #ArtificalIntelligence #Analytics #Machinelearning #Zuralabs

With the financial results of most Financial Institutions being declared, we see that despite the use of the the traditional financial parameterization for Credit Assessment, the delinquencies on account of default. This has a direct impact & erodes the profits of the institution and has a wider ramifications. Its high time to reinforce the Credit Assessment and improving the underwriting at the time of onboarding itself. A deep dive into the genesis of default will point out to the intent of the individual or individuals running the business and who are responsible for the credit as the main reason. Additionally, the financial institution can make the clients to play this game at schedule intervals to create an electronic behavioral trend bank which will validate intent of the individual or individuals so that corrective action/ decision can be taken. With the evolution of technology there are tools that operate at the intersection of cutting-edge technology and financial inclusion, offering groundbreaking solutions in alternate credit scoring which can be implemented at the time of customer onboarding. This is an alternative credit scores arrived at by using patent registered gamified psychometrics based approach, which should be avocated by regulators to be deployed in addition to the existing credit assessment thereby reinforcing the Operational Risk Process framework. All that is required is to make the borrower play a 2 minute game that captures psychological traits of the user playing the game is all that is required for the score. No personal data, financial data etc is needed.Truly democratising credit by democratising credit scoring. The value proposition to those who use it would be in one or more of the following use cases: • Over turn applicants which you're currently declining and with the said score , thereby turn them to accepts/Good borrowers bringing cost of acquisition comes down and also increase the scuccess rate • Rejecting applicants which you currently assessing as good but base on this should should be declined, therby ensuring bad borrowers are avoided or minimized • Help make decision on those 'Marginal rejects' which you're not so sure on accepting or rejecting. • Use the app as a better way to understand your customer profiles and perhaps offer them other financial products ('UpSell/Cross sell') straight impact to the bottom line. A change that needs to be looked at by all managing Financial Services with focus on Lending. #Banker #Creditunderwriters #Riskprofessionals #Fintech #Insuretech #RetailBanking #Creditcards #Lending #RBI #IRDA

🔍 Can Digital Footprint data replace Credit Bureau data? The short answer: Not entirely. Digital footprint data complements credit bureau data, enhancing the ability to assess creditworthiness, but it doesn't fully replace it. Here's why. 🤔 📊 A report from the National Bureau of Economic Research (NBER) and our own findings highlight that the correlation between digital footprint-based scores and traditional credit bureau scores is around 10%. Why this matters for lenders: 1️⃣ Enhanced decision-making. Using both digital footprint data and credit bureau data together significantly improves the discriminatory power of credit scoring models. 💪 2️⃣ Objective evaluation. Digital footprint data offers additional insights that traditional methods might miss, such as online behavior, social media activity, and other digital interactions. 📱 3️⃣ Greater inclusivity. Digital footprint data can help bring more people into the financial system, especially those with limited credit history. 🌍 At RiskSeal, we provide solutions that leverage digital footprint data to complement traditional credit bureau data. 🛡️ 📞 Interested in learning more? Contact us to find out how RiskSeal Digital Credit Scoring system can help you make more informed lending decisions. #creditscore #creditrisk #alternativedata #digitalfootprint #alternativedataprovider #fintech #lending #financialinclusion #creditbureau

Rethinking Credit Scoring with Alternative Data : Traditional credit scoring often excludes individuals and businesses without formal credit histories, leaving millions underserved. Alternative data—such as utility payments, rental history, and mobile transactions—is changing the game. By leveraging non-traditional data, lenders can: 1- Promote financial inclusion for MSMEs, young adults, and underserved populations. 2- Improve credit risk assessment with a more holistic view of borrowers. 3- Expand customer bases while reducing defaults. 4- Streamline loan approvals and lower operational costs. Countries like Kenya, Egypt, and Zambia are already leading the way with innovative use cases like mobile money platforms, behavioral scoring models, and community-based assessments. While challenges like data privacy and reliability remain, the future of credit scoring is bright, offering both opportunity and inclusion. How is your organization leveraging alternative data? Let’s discuss in the comments! #FinancialInclusion #AlternativeData #CreditScoring #Innovation

Goodbye Credit Bureau Scores ? “The Credit score we know today was built for a time when financial behaviors were much simpler.” Georgina Merhom Founder of SOLO In the latest episode of Accrued by Fintech Confidential, host Tedd Huff and co-host Colton Pond sit down with Georgina Merhom, founder of SOLO, to discuss why it’s time to rethink typical credit ratings. Georgina shares how SOLO is revolutionizing the way lenders assess credit by creating personalized, verified financial profiles. These profiles enable better decision-making without relying on outdated metrics or subjective trust. The conversation dives deep into the flaws of traditional systems, the value of consumer-controlled data, and practical advice for entrepreneurs in the fintech space. 💡 Key Highlights: 📌 Why Credit Bureau Socres Are Outdated for Today’s Economy 📌 Breaking the Bias in Banking Trust 📌 How Solo Turns Financial Data Into Real-Time Insights 📌 Taking “No” as a Signal, Not a Setback 📌 Why Banks Need Flexibility in Credit Scoring Accrued a Fintech Confidential series presented by LoanPro #fintech #creditscores #consumercontrolledcredit #financialtransparency #verifiedfinancialdata #Solo #bankingdisruption #datadrivenlending #borrowerempowerment #financialfairness #cashflowunderwriting #moderncredisystems #trustinbanking #financialinclusivity #dataverification #creditreporting #lendingindustry #financialinnovation #consumerdatacontrol #bankinginefficiencies #financialtechnology #unbundledcreditscoring Tedd Huff DD3 Media Fintech Confidential